The shares of Romanian clothing manufacturer Braiconf (BVB: BRCR), located in Brăila on the Danube, surged by 12% on March 24 after the company convened, through a note published at the Bucharest Exchange, its shareholders for April 25 to discuss an urban reconversion project for its premises – a project involving a loan of up to EUR 10 million.

The company is controlled by investment vehicle Industries Benjamin (50.8%) while ailing household appliances producer Electroargeş holds 22.5%, and individual investor Ştefan-Alexandru Toderita has 10.6%. 

"Braiconf Plaza represents the most ambitious urban reconversion project in Brăila, transforming a former industrial site into a modern multifunctional hub. Located in the best area of ​​the city, with access to three main streets, this project will redefine urban development standards in the region. With a total GLA of 26,294 sqm, Braiconf Plaza will become a reference point for the commercial, cultural, and social life of the city," according to the company's project presentation.

The company's market capitalization reached RON 18.9 million (EUR 3.9 million) after the price of its shares had not changed over the past year. It posted RON 0.5 million (EUR 100,000) losses in 2024, from a RON 0.2 million profit in 2023, as the revenues plunged from RON 26 million (EUR 5.2 million) to RON 17 million.

The financing "may be contracted through one or more sources, including but not limited to: banking institutions, non-banking financial institutions, private investors, investment funds, loans granted by legal entities or individuals, as well as any other internal or external financing sources, without restrictions on access to capital," the convening notice states.

At the end of last year, Braiconf announced that it was relaunching its online store with the expansion of its portfolio, previously dedicated to men, with products for women and the entire family, according to Ziarul Financiar. Previously, the company had called on the government to intervene to save the textile industry in Romania, a "traditional sector, but one that is heading towards extinction."

iulian@romania-insider.com

(Photo source: Facebook/Braiconf)